China-based Sino Energy International Holdings Group Ltd has signed a non-binding Memorandum of Understanding (MoU) with Sino-Harbor Construction Group (Hong Kong) Ltd for the acquisition of a 65 per cent stake in a 0.4Mta cement plant in Pemba, Cabo Delgado, Mozambique, according to its statement to the Hong Kong Stock Exchange.

Sino Energy now has 120 days to review the plant’s accounts before deciding whether to sign a definitive purchase agreement, reports CE Noticias Financieras.

Sino Energy said the acquisition could further diversify the business and expand the group’s sources of income.